Health Law Is Dealt Blow by a Court on Mandate
Published: August 12, 2011 - New York Times
The provision in President
Obamafs health care law requiring Americans to buy health insurance or face
tax penalties was ruled unconstitutional on Friday by the United States Court of
Appeals for the 11th Circuit, in Atlanta.
It was the first appellate review to find the provision unconstitutional — a
previous federal appeals court upheld the law — and some lawyers said that the
decision made it more likely that the fate of the health care law would
ultimately be decided by the Supreme
Court.
The
court found that Congress exceeded its powers to regulate commerce when it
decided to require people to buy health insurance, a provision of the health
care law known as the gindividual mandate.h But the court held that while that
provision was unconstitutional, the rest of the wide-ranging law could stand.
A 2-to-1 majority ruled that the mandate was beyond Congressfs power under
the Commerce Clause of the Constitution, writing that gwhat Congress cannot do
under the Commerce Clause is mandate that individuals enter into contracts with
private insurance companies for the purchase of an expensive product from the
time they are born until the time they die.h
The 11th Circuit case may have been the most closely watched of the health
law cases wending their ways through the courts, in part because its plaintiffs
included Republican governors and attorneys general from 26 states. But it was
just the second of at least three appellate reviews. The Obama administration
prevailed in the first round in June, when the individual mandate was found to
be constitutional by the United States Court of Appeals for the Sixth Circuit,
in Cincinnati. The next opinion is expected shortly from the Fourth Circuit in
Richmond, Va.
Supporters and opponents of the law, known as the Affordable Care Act, expect
that the Supreme Court will eventually decide the issue. Some lawyers said the
fact that the Atlanta court created a conflict among courts of appeals made it
more likely that the Supreme Court would hear the case as early as its next
term, which starts in October.
The health care law — passed in 2010 after more than a year of wrangling, and
frequently criticized by Republican presidential candidates and members of
Congress — is intended to insure 32 million Americans by mandating that most
people obtain health insurance, subsidizing policies for the poor and requiring
insurers to accept people with pre-existing health problems.
Supporters of those provisions, which take effect in 2014, argue that without
the insurance mandate, which brings more people into the insurance pool, it is
unreasonable to require insurers to cover all applicants regardless of their
health status.
The Cincinnati court ruled that the mandate was constitutional. The Atlanta
court disagreed, in a majority opinion written by Chief Judge Joel F. Dubina,
who was appointed by the first President George Bush, and Judge Frank M. Hull,
who was named by President Bill Clinton. Judge Stanley Marcus, another Clinton
appointee, wrote a dissent.
The majority opinion said, gThis economic mandate represents a wholly novel
and potentially unbounded assertion of Congressional authority: the ability to
compel Americans to purchase an expensive health insurance product they have
elected not to buy, and to make them re-purchase that insurance product every
month for their entire lives.h
Their opinion overturned the part of a lower court ruling that would have
thrown out the entire health care law: they ruled that while the individual
mandate was unconstitutional, the rest of the law could stand.
The White House and the Department of Justice said they were confident that
the law was constitutional.
Kevin Sack contributed reporting.